Inditex has launched its fast-fashion brand Bershka in Mumbai, targeting the youth-centric retail market as competition heats up with new players.
Inditex, the Spanish multinational clothing company renowned for its fast-fashion brands, has officially launched Bershka in India. The new store opened its doors in the Phoenix Palladium Mall located in Lower Parel, Mumbai, on August 22, 2023. This marked the entry of Bershka, which ranks as Inditex’s second-largest brand globally after Zara, into the competitive Indian value fashion market.
Bershka’s debut in India is seen as a strategic move to challenge Reliance Retail’s Yousta, which is a new youth-centric retail chain launched earlier this month. Yousta has made impressive strides during its initiation, with plans to expand rapidly to 1,000 stores across 27 cities within the next two to three years. The brand primarily caters to a younger demographic, offering affordable fashion items such as garments, footwear, and accessories at competitive prices mostly under Rs 1,000.
The flagship Bershka store in Mumbai spans 5,000 to 8,000 square feet, featuring several customer-friendly elements including physical checkouts, self-checkout drop-off points, and modern fitting rooms. The store’s offerings include a range of garments and accessories for men and women, with individual item prices ranging from Rs 500 to Rs 2,500. Bershka is also prioritizing the online shopping experience, providing delivery services at a nominal fee of Rs 290, alongside complimentary shipping on orders exceeding Rs 2,990 for non-discounted items.
Inditex, which recorded annual sales surpassing $37 billion, has established a joint venture with Tata Group’s Trent for the operations of its other brands such as Zara and Massimo Dutti in India. Bershka’s independent introduction may signify a shift in Inditex’s strategy in the Indian market, where cost-conscious consumers are driving the demand for value fashion.
Furthermore, reports indicate that Inditex is considering the launch of another of its brands, Pull & Bear, in India, which could further intensify competition within this growing sector.
India’s value fashion market is currently valued at an impressive $65 billion and is projected to grow at an annual rate of 12-15%. The entrance of Bershka into this dynamic sector highlights the increasing competition among brands vying for market share in India, particularly among price-sensitive consumers who are eager for affordable yet stylish clothing options.
Source: Noah Wire Services
